Mothercare Plc : Statement re Australia

Mothercare Plc : Statement re Australia
MOTHERCARE PLC
Update on Australia
Following the deterioration of trading conditions in Australia, as announced
in November 2012, a decision was taken by our associate Mothercare Australia
Limited^1 to sell its Mothercare and Early Learning Centre businesses to The
Myer Family Company Holdings Pvt Ltd. These discussions have ended
inconclusively and Mothercare Australia Limited^1 has been placed into
administration.
In November 2012, Mothercare plc made a provision of £10.6 million, covering
the remaining value of its investment in and other receivables due from
Mothercare Australia Limited^1. Since then receivables from Mothercare
Australia Limited^1 have been tightly controlled on short payment terms.
Mothercare Australia Limited^1 accounts for circa 7% of International retail
sales. The expected profit impact is minimal and does not change our overall
view of International profitability going forward.
Apart from the information contained in this update, there has been no
significant change to the financial position of the Company.
Note 1: Mothercare Australia Limited is a separate entity in which the UK
quoted company Mothercare plc has an indirect minority stake.
Enquiries to:
Mothercare plc
Ramona Tipnis, Director of Investor Relations 01923 206455
Tulchan Communications
Katharine Wynne & Susanna Voyle 020 7353 4200
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Source: Mothercare Plc via Thomson Reuters ONE
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